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Verified source: GOV.UK Apply for a GrantLast verified 3 Jun 2026

Heat Network Efficiency Scheme (HNES)

The Heat Network Efficiency Scheme (HNES) provides funding to public, private and third-sector applicants to improve existing district heating or communal heating projects in England and Wales.

Key facts

Funding amount
Up to 100% for revenue grants, up to 50% for capital grants
Deadline
Ongoing scheme
Region
England and Wales
Business type
Public sector organisations
Apply on official site

Plain English summary

This scheme offers grants to businesses, public sector organizations, and charities in England and Wales to improve the efficiency of existing heat networks. Funding is available for optimization studies (revenue grants) and for the installation of improvement measures (capital grants). The scheme aims to reduce carbon emissions, improve customer outcomes, and prepare the market for regulation.

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Who this is best for

  • Public sector organisations
  • Organisations based in England and Wales
  • Projects aligned with energy & sustainability
  • Teams seeking funding around Up to 100% for revenue grants, up to 50% for capital grants

Who should not apply

  • Individuals applying in a personal capacity (unless explicitly permitted)
  • Organisations based outside England and Wales
  • Applicants who cannot meet the official eligibility criteria below

Eligibility checklist

Tick what applies to your organisation before applying.

Official source

Funding body
GOV.UK Apply for a Grant
Last verified
3 Jun 2026

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